Prudential are making their Flexible Lifetime Annuity more accessible, by reducing the minimum price down to just £35,000. As well as this there are over fifty funds that are used in conjunction with this annuity product. Pension guru Vince Smith-Hughes from Retirement Income (Prudential Assurance) believes that this will offer people more choice when they opt for this product. He said that ”…greater choice, flexibility and investment diversity are becoming increasingly important to our customer base as it becomes more sophisticated.”
The various strategies for investment from Prudential are said to offer ”a cautious, standard, adventurous or self-managed approach.” Having more flexibility in the annuity market is vital if this industry is to attract new annuitants to the market. With some arguing that annuities can be too restrictive, it is a positive step that providers can take by making their products as flexible as possible.